OZ MINERALS PROMINENT HILL SITE VISIT 15 & 16 MAY 2014 WWW.OZMINERALS.COM
DISCLAIMERS This presentation has been prepared by OZ Minerals Limited (“OZ Minerals”) and consists of written materials/slides for a pre sentation concerning OZ Minerals. By reviewing/attending this presentation, you agree to be bound by the following conditions. No representation or warranty, express or implied, is made as to the fairness, accuracy, or completeness of the information, contained in the presentation or of the views, opinions and conclusions contained in this material. To the maximum extent permitted by law, OZ Minerals and its related bodies corporate and affiliates, and its respective directors, officers, employees, agents and advisers disclaim any liability (including, without limitation any liability arising from fault or negligence) for any loss or damage arising from any use of this material or its contents, including any error or omission therefrom, or otherwise arising in connection with it. Some statements in this presentation are forward-looking statements within the meaning of the US securities laws. Such statements include, but are not limited to, statements with regard to capacity, future production and grades, projections for sales growth, estimated revenues and reserves, targets for cost savings, the construction cost of new projects, projected capital expenditures, the timing of new projects, future cash flow and debt levels, the outlook for minerals and metals prices, the outlook for economic recovery and trends in the trading environment and may be (but are not necessarily) identified by the use of phrases such as “will”, “expect”, “anticipate”, “believe” and “envi sag e”. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future and may be outside OZ Minerals’ control. Actual results and developments may differ materially from those expressed or implie d in such statements because of a number of factors, including levels of demand and market prices, the ability to produce and transport products profitably, the impact of foreign currency exchange rates on market prices and operating costs, operational problems, political uncertainty and economic conditions in relevant areas of the world, the actions of competitors, activities by governmental authorities, such as changes in taxation or regulation. Given these risks and uncertainties, undue reliance should not be placed on forward-looking statements which speak only as at the date of the presentation. Subject to any continuing obligations under applicable law or any relevant stock exchange listing rules, OZ Minerals does not undertake any obligation to publicly release any updates or revisions to any forward looking statements contained in this presentation, whether as a result of any change in OZ Mineral’s expectations in relation to them, or any change in events, conditions or circumstan ces on which any such statement is based. Certain statistical and other information included in this presentation is sourced from publicly available third party sources and has not been independently verified. All figures are expressed in Australian dollars unless stated otherwise. OZ MINERALS • PAGE 2
DISCLAIMERS CONTINUED: Production Outlook a) The information that relates to Prominent Hill future production outlook (on pages 11 and 12) is extracted from the report entitled “Prominent Hill Mineral Resources and Ore Reserves Statement as at 30 June 2013” released to the market on 11 December 2013 (‘PHRR’) and is available to view on ww.ozminerals.com/operations/resources -- reserves.html. The Company confirms that it is not aware of any new information or data that materially affects the information included in the PHRR and that all material assumptions and technical parameters underpinning the estimates in the PHRR continue to apply and have not materially changed. b) The production target for Malu Underground (on pages 11, 12, 56 and 58) is based on the Company’s current expectations of future results or events and should not be solely relied upon by investors when making investment decisions. It is based on the Company’s current understanding of the Resource. The Malu Underground Resource is based on measured, indicated and inferred Resources. There is a low level of geological confidence associated with inferred mineral resources, and there is no certainty that further exploration work will result in the determination of indicated mineral resources or that the production target itself will be realised. The Company has not yet completed the necessary technical studies to determine an ore reserve, and the production target should not be misconstrued as an ore reserve. Further evaluation work and appropriate studies are required to establish sufficient confidence that this target will be met. OZ MINERALS • PAGE 3
DISCLAIMERS CONTINUED: Reserves and Resources The information in this presentation that relates to Prominent Hill Mineral Resources and Ore Reserves as at 30 June 2013 (on pages 30- 33 and 45) is extracted from the report entitled “Prominent Hill Mineral Resources and Ore Reserves Statement as at 30 June 2013” which was released to the market on 11 December 2013 and is available to view on www.ozminerals.com/operations/resources--reserves.html. The Company confirms that it is not aware of any new information or data that materially affects the information included in the original market announcement and, in the case of estimates of Mineral Resources or Ore Reserves, that all material assumptions and technical parameters underpinning the estimates in the relevant market announcement continue to apply and have not materially changed. The Company confirms that the form and context in which the Competent Person’s findings are presented have not been materially modified from the original market announcement. Ankata Resource Drilling The information in this presentation that relates to Ankata Underground Resource Drilling is based on and fairly represents information compiled by Mr Jim Hodgkison who is a member of the Australasian Institute of Mining and Metallurgy. Jim Hodgkison is a full time employee of OZ Minerals Limited. He is a shareholder of OZ Minerals and is entitled to participate in the OZ Minerals Performance Rights Plan. Mr Hodgkison has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity undertaken to qualify as a Competent Person as defined in the 2012 edition of the Australasian Code For Reporting of Exploration Results, Mineral Resources and Ore Reserves (JORC 2012). Jim Hodgkison consents to the inclusion in this presentation of the matters based on his information in the form and context in which it appears. OZ MINERALS • PAGE 4
CONTENTS 1. Site overview 2. Strategic planning 3. Costs 4. Geology 5. Open pit operations 6. Underground operations 7. Processing 8. Engineering OZ MINERALS • PAGE 5
PROMINENT HILL LOCATION South Australia is a favourable mining jurisdiction and Prominent Hill is well located with respect to road and rail, power and water. Export route to Asian and European markets via Adelaide. OZ MINERALS • PAGE 6
PROMINENT HILL COPPER GOLD OPERATION Deposit Iron-Oxide Copper Gold (IOCG) Hematite breccia hosted Mines Malu Open Pit Ankata Underground - sub-level open stoping mine. Malu Underground - commissioning expected to commence late 2014* Mining rates Total material movement in Malu Open Pit to reduce steadily over the remaining life of mine. Equipment de-mobilisation has commenced and will continue. Mining rates at Ankata to remain steady at ~1.2Mtpa Mining rates at Malu Underground expected at 1.3-1.6Mtpa* Plant Crush, grind, flotation Nameplate 8Mtpa Operating at ~9.5Mtpa since 2010. Workforce Approximately 1,400 including contractors and approximately 75% from South Australia. Organisations on site Open cut mining: Thiess, Ausdrill Underground mining: Byrnecut, Boart Longyear Concentrate transport: Qube/Giacci Village services: Sodexo *Refer to p3 for Malu Underground disclaimer OZ MINERALS • PAGE 7
PROMINENT HILL SITE ANKATA NORTHERN OPEN PIT TAILINGS STORAGE DEPOSIT WASTE DUMP FACILITY AREA SOUTHERN PROCESSING WASTE DUMP PLANT ROM PAD MALU UNDERGROUND Pit AREA Waste Dumps VILLAGE OZ MINERALS • PAGE 8
SAFETY MANAGEMENT Continuous improvement in safety performance since 2010. • Twenty-six percent improvement in total recordable injury frequency rate (TRIFR) year on • year (2013: 7.69). Site Safety Forum enables OZ Minerals and contractors to identify strategies for better • safety outcomes across Prominent Hill. Focus on analysing incidents with potential for more serious consequences (high potential • incidents). Building a safety culture through the Culture Development Strategy – self-assessment tool • that assists OZ Minerals and contractors improve aspects of their culture that impact on safety. 21.92 19.73 Rate 10.49 7.69 4.38 1.50 1.46 0.96 * * * * * Per millions hours worked OZ MINERALS • PAGE 9
SITE CULTURE DEVELOPMENT STRATEGY Supports the OZ Minerals Values and site • wide culture development. Strives for consistency between all areas. • Drives continuous improvement in • organisational culture and outcomes. Improved safety performance as an • outcome. Complements the business strategy of • key organisational alliances – Thiess, Byrnecut & Sodexo. OZ MINERALS • PAGE 10
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